Many people throughout the United States are purchasing homes. In fact, statistics show that 88% of those surveyed purchased their home through either a real estate broker or agent. Not everyone decides to purchase a home, choosing to rent. There are many advantages associated with leasing or renting a property. If you’ve been looking at a large number of properties, it’s likely that you’ve come across what is known as an NNN property. You’ll find that these NNN deals can become quite attractive once you’ve learned how beneficial they are. With that in mind, here are three benefits of NNN or triple net properties.
- Paying Less Rent Than Normal
Statistics show that 21% of people living in the United States that are 75 years or older still have a certain amount of debt. With that in mind, many people who have expenses to pay each month in regards to debt often choose to rent properties. Considering that, it’s essential for certain tenants to be able to pay monthly rental fees that are fair. You’ll find that NNN deals are great for those who are looking to lessen the monthly burden of paying costly rent.
- Stabilizes Cash Flow for Landlord
One of the most important aspects of being a landlord is ensuring that you’re able to have a large sum of cash flow. However, dealing with low rent payments and vacant properties isn’t good for a landlord to experience. You’ll find that NNN investments are attractive for landlords because they help provide more stable cash flow than similar types of properties.
- Great for Smaller Properties
Many tenants aren’t looking for spacious homes that are filled with rooms. Statistics show that the average size of a home is 1,500 square which might too much for certain individuals. In many cases, there are people who are in need of a smaller living space. It’s rare that single tenants will either want to pay for or need to utilize a large home. Therefore, NNN deals tend to work extremely well for both single tenants and their respective landlords. A triple net investment also tends to be easier to finance in regards to coming up with customized terms.
To summarize, there are several benefits of NNN properties for both renters and landlords. These properties tend to have the renter paying less in rental fees each month while providing a landlord with more stable forms of cash flow. Lastly, these types of properties tend to work out especially well for single tenants. These tenants tend to benefit from triple net investments while landlords are able to pay off single tenant properties in a faster and more efficient manner.